Total changes 1990-2008
Inclusive Wealth Index
Gross Domestic Product
Changes over 20 Years
The negative changes in inclusive wealth in Saudi Arabia indicate an unsustainable track. They were caused primarily by a heavy drawdown on natural capital, which a rapid growth in human capital was not able to offset.
Natural capital, driven primarily by oil reserves, made up the largest part of Saudi Arabia’s inclusive wealth. However, in the time period assessed (1990-2008), these reserves were being rapidly depleted and produced and human capital were not increasing as fast as they could to offset the decline. The situation was further exacerbated by Saudi Arabia’s rapid population growth rate, which at 2.72% average annual growth, resulted in a low rate of return of its capital asset base per person. It is crucial that Saudi Arabia improves its inclusive investments in produced capital and human capital.